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Item T3 BOARD OF COUNTY COMMISSIONERS AGENDA ITEM SUMMARY Meeting Date: August 21,2002 Division:County Administrator/Growth Management Bulk Item: Yes No X Department: N/A AGENDA ITEM WORDING: Approval of a resolution authorizing submittal of a wastewater grant application to the Florida Deparnnent of Environmental Protection for grant funds to underwrite wastewater improvements by Key West Resort Utility, Inc., and North Key Largo Utility Corporation. ITEM BACKGROUND: On July] 7, 2002, the BOCC approved a resolution based on an agreement reached by the Intergovernmental Task Force for the allocation of the supplemental $4.76 million in state grant funds (Line Item 1765, FY 2002-2003, General Appropriations Act) to be made available for wastewater and stonnwater facilities. The agreed upon supplemental grant amount for the County was $1,122,408. In June, the BOCC approved a motion to support $987,586 in state funds for the North Key Largo Utility Corporation to partially fund its $3.95 million wastewater project in Ocean Reef. As its special July 31, 2002, meeting. although no official action was taken, the BOCC also indicated its support for state funding of the Key West Resort Utility, Inc.'s south Stock Island wastewater project from any of the funds remaining in the County's share of the supplemental grant not applied to the Ocean Reef wastewater project. $134,822 would remain in supplemental funds after the amount identified for the Ocean Reef project is deducted. Although the Florida Department of Environmental Protection (FDEP) staff has indicated that private utilities are not eligible under this grant program, the County staff has been infonned by the Governor's office that the State would consider the use of such funds for private entities constructing wastewater projects in accordance with the Monroe County Sanitary Wastewater Master Plan. Both the North Key Largo Utility Corporation and Key West Resort Utility's projects are consistent with the adopted plan. In order to move these projects forward for consideration by the FDEP, the BOCC needs to adopt a resolution that authorizes the County to submit an application and enter into a grant agreement with FDEP for these two projects. The proposed resolution also directs the County Administrator and County Attorney to prepare necessary contractual agreements with both the two private utilities for distribution and administration of these grant funds in accordance with FDEP guidelines and notified the FDEP that any portion of these supplemental funds not specifically approved for these two projects will be allocated to Key Largo to augment the $1.66 million in state funds already eannarked for that project. The North Key Largo Utility Corporation and Key West Resort Utility have been asked to prepare the necessary preliminary application documentation required by FDEP. PREVIOUS RELEVANT BOCC ACTION: The BOCC approved a resolution on supplemental state wastewater funding on July 17, 2002, and approved a motion supporting state funding of the North Key Largo Utility Corporation wastewater project on June 20, 2002. CONTRACT/AGREEMENT CHANGES: N/A STAFF RECOMMENDATIONS: Approval TOTAL COST: $1.122,408 BUDGETED: Yes: N/A No: COST TO COUNTY: None (except grant administration) REVENUE PRODUCING: Yes No X AMOUNT PER MONTH - - ~ Year DuCUMENT A TION: Included X OMB/rha~f \-11. Risk Management _ C/~~~~h-l;1. U.JfC;- . To Follow \' NJ ReqUi~d_ APPROVED BY: County Atty ~ DIVISION DIRECTOR APPROVAL: DISPOSITION: AGENDA ITEM # V3 RESOLUTION -2002 A RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY FLORIDA, AUTHORIZING THE SUBMITTAL OF A GRANT APPLICATION TO THE FLORIDA DEPARTMENT OF ENVIRONMENTAL PROTECTION FOR GRANT FUNDS TO UNDERWRITE WASTEWATER IMPROVEMENTS BY KEY WEST RESORT UTILITY, INC., AND NORTH KEY LARGO UTILITY CORPORATION WHEREAS, under the State of Florida's 2002-2003 General Appropriations Act, Line Item 1765A, Fixed Capital Outlay, Keys Wastewater Management Plan Implementation, $4,76 million has been made for unspecified wastewater and stormwater facilities; and, WHEREAS, Monroe County and its five municipal governments with the concurrence of the Florida Department of Environmental Protection as the administrator of the grant program have mutually agreed to divide these funds of which $1,122,408 is Monroe County's fair share; and, WHEREAS, the Board of County Commissioners approved a motion on June 20, 2002, supporting $987,586 in state funds to the North Key Largo Utility Corporation to partially fund its $3,95 million wastewater project in Ocean Reef; and, WHEREAS, the Board of County Commissioner also expressed its support at a special meeting on July 31, 2002, for providing the remaining $134,822 of the County's share of state funds to the Key West Resort Utility's $4,6 million wastewater project to serve south Stock Island; and, WHEREAS, the Key West Resort Utility and North Key Largo Utility Corporation are both privately-owned investor utilities regulated by the Florida Public Service Commission; and, WHEREAS, the two wastewater projects being implemented by these utilities, the expansion of central sewer service in the Ocean Reef development and to serve south Stock Island, are consistent with the County's adopted Sanitary Wastewater Master Plan; and, WHEREAS, the FDEP guidelines requires that as part of project documentation for the grant application, the Board of County Commissioners take formal action authorizing the County to execute a funding agreement with the FDEP; now therefore Page 1 of2 BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA THAT: Section 1. The County Administrator is authorized to submit an application to the Florida Department of Environmental Protection for a wastewater grant as provided under the State of Florida's 2002-2003 General Appropriations Act, Line Item 1765, Fixed Capital Outlay, Keys Wastewater Management Plan Implementation to provide $987,586 in state funds to North Key Largo Utility Corporation for wastewater improvements at Ocean Reef and $134,822 to the Key West Resort Utilities for wastewater improvements to south Stock Island, Section 2. The County Administrator is directed to communicate in the County's application to the Florida Department of Environmental Protection that should any portion of the $1,122,408 in total grant funds, not be made available to these projects for whatever reason, the remaining funds are to be assigned to the Florida Keys Aqueduct Authority's Key Largo Park project. Section 3. The Mayor is authorized to execute a grant agreement with Florida Department Environmental Protection subject to administrative, legal and risk management review. Section 4. The County Administrator and County Attorney are directed to prepare necessary contract documents concerning the administration of the grant funds to be entered into between Monroe County and the two privately-owned investor utilities for approval by the Board of County Commissioners. PASSED AND ADOPTED by the Board of County Commissioners of Monroe County, Florida, at a meeting of said Board held on the 21 st day of August AD 2002. Mayor Charles "Sonny" McCoy Mayor Pro Tern Dixie Spehar Commissioner Bert Jimenez Commissioner George Neugent Commissioner Murray Nelson (SEAL) DANNY L. KOLHAGE, Clerk BOARD OF COUNTY COMMISSIONERS OF MONROE COUNTY, FLORIDA By: By: Deputy Clerk Mayor/Chairperson Page 20f2